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Hydrogen: a driver of energy transition.

Due to its geographical situation, Spain has a great opportunity to produce very cheap renewable energy as well as the cheapest hydrogen in Europe.
El hidrógeno: un driver para la transición energética
Experts and knowledge
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Editorial Dept
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5 minutes
13 Jul 2021

Opportunities for Spain in the field of hydrogen

Spain has a great opportunity to produce very cheap renewable energy and to produce the cheapest hydrogen in Europe due to its geographic location. Furthermore, Spain, along with North Africa, will be the natural port of entry for hydrogen. And Spain has large, leading companies in the sector: energy, technology, etc.

Due to all the above, we can create specialised businesses and industrial production capacities throughout the hydrogen value chain.

And then as the result of the development in the sector, the ability to export Spanish technology and being a benchmark for the manufacture of equipment and instruments for the global hydrogen industry.

Current opportunities

Since there is a clear commitment to the decarbonisation of all sectors in Europe, the relevance of hydrogen is recognized and there is a determined push for distribution and availability of renewable hydrogen.

Right now, a post COVID recovery plan is underway:

  • Green recovery (EU Green Deal).
  • Reactivate, redefine and transform the economy, generate employment, economic development and creation of industrial capacities.

Furthermore, the hydrogen sector is optimally positioned to play a significant role in this green recovery, since it generates skilled employment, is positioned for the industrialisation of the economy and improves national balance of payments (given that supply is adequate for exportation).

Drivers of the Energy Transition:

Permitir una integración a gran escala de energías renovables eficientes 1 Distribuir energía en todos los sectores y regiones Descarbonizarel transporte Actuar como barrera para aumentar la resiliencia del sistema Descarbonizar el consumo de energía por la industria Servir como materia prima mediante la captura de carbono Ayuda a descarbonizarla calefacciónde edificios 2 3 4 5 6 7 Fuentes de energía Usos finales Columna vertebral del sistema energético
  • Production of green hydrogen: the challenge is to reduce the cost with increasingly large scale projects and the creation of specialised, dedicated facilities. Additionally, biohydrogen from biomass and combinations of high-temperature electrolysis produced from biogas will also be developed on a smaller scale.
  • Distribute energy between regions and sectors, connecting regions with an abundance of low-cost renewable energy with those that have strong demand for energy.
  • Acting as a buffer to increase the resilience of the electricity network, since hydrogen can be maintained in high-capacity storage for long periods of time (especially seasonal).
  • Assist in the decarbonisation of transportation systems. Especially for heavy and long distance transportation. The generation of green hydrogen begins to be competitive compared to diesel when the price is approximately €1.50 to €3.00 per kilogram. And the hydrogen recharging infrastructure that is required will quickly become available over the next few years.
  • Help decarbonise energy used for industry, especially for high-temperature industrial processes, replacing fossil fuels.
  • Help decarbonise heating and electricity for buildings and cities. Hydrogen is significantly penalised based on its efficiency (75%) as compared to producing electricity directly with heat pumps (300%).
  • Serve as a renewable raw material for industry, replacing hydrogen produced by gas reforming, for the production of ammonia and refining of fuels. Furthermore, in the manufacture of steel, hydrogen can function as a reducing agent for iron ore and it can also be used in place of natural gas in various chemical processes.

Information obtained through the hydrogen cycle, organised by Adegi. Webinar participants and speakers::

  • Samuel Pérez Ramírez: Iberdrola Innovation, Sustainability and Quality division.
  • Javier Rodríguez: Managing director of Cidetec Energy Storage.
  • Arturo Fernández Goyenechea: Innovation manager at Petronor.
  • Imanol Iturrioz: Head of R&D at the CAF Group.
  • Javier Brey Sánchez: Chairman of the Spanish Hydrogen Association and H2B2 founder and CEO.
  • Fernando Espiga: Head of Energy Transition at Tecnalia.
  • Raquel Azcárraga: Head of Sustainability at Bankinter.